Headlines

Equipment Tax Exemption Reduces Cost,
New Process Saves Time
by Cindy Gregovich

In February of this year, the UW was granted a sales tax exemption for equipment used on qualifying research. In order to qualify for the exemption, the research activities must:

• Advance new technological information,
• Translate technological information into new or improved products, processes, techniques, formulas, inventions or software
• Explore a new use for an existing drug, device, or biological product

The financial impact of this sales tax exemption is huge, and will only get larger as UW research dollars increase. In just the last six months, the sales tax exemption has saved the UW nearly $2 million.

The Equipment Inventory Office (EIO) has been working with consultants and process partners to streamline and automate the previously manual process. As of October 4, 2004 the new process will be in place. Specific improvements include programming changes to the Purchasing & Accounting System, new procedures, and a web interface.

Along the way, EIO representatives met with several administrative groups, departments, and process partners to communicate and launch the new process. Three training sessions were offered to campus and over 400 participants attended.

It is exciting to work with the research departments in applying the exemption and seeing first-hand the vast research activities that take place on campus. The new exemption and process definitely help FM to support the UW’s research activities.